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Revenue from Contracts with Customers (Tables) | 9 Months Ended
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Sep. 30, 2025
Revenue from Contract with Customer [Abstract] |
Schedule of Change in Estimate at Completion Adjustments | Net EAC adjustments had the following impacts for the periods presented:
| Three Months Ended September 30, |  | Nine Months Ended September 30,
(Dollars in millions, except per share amounts) | 2025 |  | 2024 |  | 2025 |  | 2024
Revenue and operating earnings | $ | 5 |  |  | $ | (10) |  |  | $ | (4) |  |  | $ | (29) |
Total % of revenue | 1 | % |  | 1 | % |  | — | % |  | 1 | %
Net earnings | $ | 4 |  |  | $ | (8) |  |  | $ | (3) |  |  | $ | (23) |
Impact on diluted earnings per share | $ | 0.01 |  |  | $ | (0.03) |  |  | $ | (0.01) |  |  | $ | (0.09) |
Schedule of Contract Assets and Contract Liabilities | Contract assets and contract liabilities as of the dates presented were:
(Dollars in millions) | September 30, 2025 |  | December 31, 2024
Contract assets | $ | 1,054 |  |  | $ | 872 |
Contract liabilities | 440 |  |  | 399 |
Schedule of Disaggregation of Revenue | We disaggregate ASC revenue by geographical region, customer relationship and contract type. We believe these categories best depict how the nature, amount, timing and uncertainty of ASC revenue and cash flows are affected by economic factors.
| Three Months Ended September 30, |  | Nine Months Ended September 30,
(Dollars in millions) | 2025 |  | 2024 |  | 2025 |  | 2024
Revenue by Geographical Region |  |  |  |  |  |  |
United States | $ | 500 |  |  | $ | 426 |  |  | $ | 1,411 |  |  | $ | 1,159 |
International | 77 |  |  | 101 |  |  | 213 |  |  | 282 |
Intersegment Sales | 3 |  |  | 6 |  |  | 9 |  |  | 17 |
Total | $ | 580 |  |  | $ | 533 |  |  | $ | 1,633 |  |  | $ | 1,458 |
Revenue by Customer Relationship |  |  |  |  |  |  |
Prime contractor | $ | 298 |  |  | $ | 200 |  |  | $ | 760 |  |  | $ | 616 |
Subcontractor | 279 |  |  | 327 |  |  | 864 |  |  | 825 |
Intersegment Sales | 3 |  |  | 6 |  |  | 9 |  |  | 17 |
Total | $ | 580 |  |  | $ | 533 |  |  | $ | 1,633 |  |  | $ | 1,458 |
Revenue by Contract Type |  |  |  |  |  |  |
Firm-Fixed Price | $ | 509 |  |  | $ | 446 |  |  | $ | 1,414 |  |  | $ | 1,198 |
Flexibly Priced(1) | 68 |  |  | 81 |  |  | 210 |  |  | 243 |
Intersegment Sales | 3 |  |  | 6 |  |  | 9 |  |  | 17 |
Total | $ | 580 |  |  | $ | 533 |  |  | $ | 1,633 |  |  | $ | 1,458 |
________________ (1)Includes revenue derived from cost-plus and time-and-materials contracts. We believe these categories best depict how the nature, amount, timing and uncertainty of IMS revenue and cash flows are affected by economic factors.
| Three Months Ended September 30, |  | Nine Months Ended September 30,
(Dollars in millions) | 2025 |  | 2024 |  | 2025 |  | 2024
Revenue by Geographical Region |  |  |  |  |  |  |
United States | $ | 366 |  |  | $ | 277 |  |  | $ | 956 |  |  | $ | 796 |
International | 17 |  |  | 8 |  |  | 8 |  |  | 16 |
Intersegment Sales | — |  |  | — |  |  | — |  |  | — |
Total | $ | 383 |  |  | $ | 285 |  |  | $ | 964 |  |  | $ | 812 |
Revenue by Customer Relationship |  |  |  |  |  |  |
Prime contractor | $ | 136 |  |  | $ | 58 |  |  | $ | 236 |  |  | $ | 182 |
Subcontractor | 247 |  |  | 227 |  |  | 728 |  |  | 630 |
Intersegment Sales | — |  |  | — |  |  | — |  |  | — |
Total | $ | 383 |  |  | $ | 285 |  |  | $ | 964 |  |  | $ | 812 |
Revenue by Contract Type |  |  |  |  |  |  |
Firm-Fixed Price | $ | 359 |  |  | $ | 238 |  |  | $ | 855 |  |  | $ | 670 |
Flexibly Priced(1) | 24 |  |  | 47 |  |  | 109 |  |  | 142 |
Intersegment Sales | — |  |  | — |  |  | — |  |  | — |
Total | $ | 383 |  |  | $ | 285 |  |  | $ | 964 |  |  | $ | 812 |
________________ (1)Includes revenue derived from cost-plus and time-and-materials contracts.

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- Definition Tabular disclosure of receivable, contract asset, and contract liability from contract with customer. Includes, but is not limited to, change in contract asset and contract liability. + References Reference 1: http://www.xbrl.org/2009/role/commonPracticeRef -Topic 606 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 10 -Publisher FASB -URI https://asc.fasb.org/1943274/2147479806/606-10-50-10 + Details
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- Definition Tabular disclosure of disaggregation of revenue into categories depicting how nature, amount, timing, and uncertainty of revenue and cash flows are affected by economic factor. + References Reference 1: http://www.xbrl.org/2009/role/commonPracticeRef -Topic 606 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 5 -Publisher FASB -URI https://asc.fasb.org/1943274/2147479806/606-10-50-5 + Details
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- Definition Tabular disclosure of the change in an accounting estimate, including a change that occurs in an interim period. If a change in accounting estimate affects several future periods (for example, a change in the service life of a depreciable asset) disclose the effect on income from continuing operations, net income (or other appropriate captions of changes in the applicable net assets or performance indicator), and any related per-share amounts of the current period. Disclosure of the effects of a change in an accounting estimate that occurs in the ordinary course of business (such as uncollectible accounts or inventory obsolescence) is not required, unless the effect is material. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Name Accounting Standards Codification -Topic 270 -SubTopic 10 -Section 45 -Paragraph 14 -Publisher FASB -URI https://asc.fasb.org/1943274/2147482989/270-10-45-14 Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef -Name Accounting Standards Codification -Topic 250 -SubTopic 10 -Section 50 -Paragraph 4 -Publisher FASB -URI https://asc.fasb.org/1943274/2147483443/250-10-50-4 + Details
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